HYDERABAD: On Monday, the Telangana government secured a refinancing agreement worth ₹13,600 crores from the Indian Railway Finance Corporation (IRFC) for the Hyderabad Metro Rail Project.
The agreement was signed in Delhi by officials from IRFC, L&T Metro Rail (Hyderabad) Ltd, and Hyderabad Metro Rail Ltd (HMRL).
Chief Secretary K Ramakrishna Rao, who was present at the signing, stated that this refinancing would significantly alleviate financial pressures on the Hyderabad Metro Rail project, enhancing its long-term economic viability, according to a government release.
This initiative is aimed at reducing the current debt and facilitating future expansion of the metro system.
Rao emphasized the state government’s commitment to developing an efficient, sustainable, and commuter-friendly public transport system in Hyderabad, under the leadership of Chief Minister A Revanth Reddy.
He pointed out that as Hyderabad continues to evolve into a major economic hub in India, expanding metro connectivity is vital for supporting the city’s growth.
The government has recently acquired full ownership of L&T Metro Rail Hyderabad Ltd via HMRL. The loan is scheduled for repayment over 20 years with quarterly installments.
Phase 1 of the Hyderabad Metro Rail project spans 69.2 km and includes three corridors and 57 stations, marking it as one of the largest public-private partnership (PPP) metro projects in the nation. Approximately 500,000 passengers utilize the network daily.
